10環境社会報告書H01 H04 A-1 · Environmental Chronology ... As our energy situation becomes...

2012Sustainability Report

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Iwatani environmental policy

Environmental Charter

July 26, 2012IWATANI CORPORATION

Masao NomuraPresident

This report contains details of Iwatani Group’s activities in FY 2011.【Guidelines used for reference】Ministry of the Environment: Sustainability Report Guidelines (FY2012 version)GRI: Sustainability Reporting Guidelines Third Edition(Version 3.1)

"Gas and Energy" is a key concept for Iwatani. Whilst LP gas and various industrial gases remain our core business, Iwatani has also been developing interests in a comprehensive range of industries, including general consumer products, foods, machinery, welding materials, electronic equipment, metals, chemicals and minerals. Iwatani strives, in all its business activities, to work in harmony with local communities and to contribute to a more recycling-oriented society, in the spirit embodied in the Iwatani Group Environmental Charter.

We will endeavor to reduce the burdens on the environ-ment, notably those which contribute to global warming, through new technologies allowing us to use our natural resources more effectively, and research and develop new sources of energy; contributing to a more viable society and the wider use of Eco-friendly products.

We shall conserve resources and energy and minimize waste through our business activities.

We shall comply with environmental laws and regulations, and follow the environmental requirements we consider workable.

We shall continuously improve our environmental management systems and become more effective at preventing pollution by setting and regularly reviewing environmental objectives and targets.

We shall ensure that all company and group employees are aware of environmental issues, and that environment-related training and education is provided.


This report contains details of Iwatani Group’s activities in FY 2011.【Guidelines used for reference】Ministry of the Environment: Sustainability Report Guidelines (FY2012 version)

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FeatureCreating a perpetually sustainable clean energy society

Social Performance

Economic Performance

Iwatani environmental policy


Message from the President・・・・・・・・・・・・・・・・・・・・・・・・・・・・

Providing reassurance and helping to enrich people’s lives with LPG・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

LPG, Natural Gas・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

Creating a hydrogen energy society・・・・・・・・・・・・・・・・・・・

Iwatani’s wide-ranging energy and environmental initiatives・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

ntribution to Local Communities・・・・・・・・・・・・・・・・・・・・・・・

International Activities

Support for Energy Technology・・・・・・・・・・・・・・・・・・・・・・・・・

Relationship with Customers

Environmental Management System・・・・・・・・・・・・・・・・・・

Summary of Environmental Performance in FY 2011・・

Iwatani’s Material Balance・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

Supply Chain Management System・・・・・・・・・・・・・・・・・・・・

Logistics

Compliance with Laws & Regulations and Negative Information・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

Environmental Accounting

FY2012 Environmental Objectives and Targets・・・・

Environmental Chronology・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・

CONTENTS

Creating a perpetually sustainableclean energy society

TOP MESSAGE

Sustainability Report 2012 1

Chairman and CEO President

We have made it our mission to contribute to the creation of a low carbon society through clean energy. Our core business revolves liquefied petroleum gas (LPG), which has been widely acclaimed as a clean, disaster resilient, decentralized energy source. We engage in a wide range of activities here at Iwatani, from promoting LPG-based gas heat pump (GHP) air conditioning and cogeneration systems to using LPG alongside city gas and installing LPG emergency generators. All of these activities help to reduce peak power consumption and create a stronger society that is less dependent on any single source of energy. We are also committed to improving our LPG centers, equipping them with disaster prevention capabilities in order to further reinforce our stable supply structure.As well as LPG, demand for liquefied natural gas (LNG) as a clean energy source is also on the increase. We have a complete LNG supply structure here at Iwatani and are constantly working to increase supply volumes in order to cater effectively to users’ needs in the future.We can’t afford to stand still in our quest to create a low carbon society. Our trump card in that quest is hydrogen, the ultimate source of clean energy.We have had our sights set on potential demand for hydrogen for over half a century and have continued to pave the way for a new era of hydrogen energy, including establishing Japan’s first commercial liquid hydrogen plant. With the completion of our Yamaguchi Liquid Hydrogen plant in Shunan (Yamaguchi prefecture) in spring of next year, we intend to increase our number of liquid hydrogen plants to three, alongside our facilities in Osaka and Chiba. This will reinforce our supply structure and make it easier for us to cater to demand from customers in western Japan. We are also making steady progress with the development of new technologies and applications, working in partnership with various different companies. A prime example is Kitakyushu Hydrogen Town, where we are now in the testing phases. The road towards a hydrogen society is becoming clearer, and Iwatani is set to play an increasingly important role.As our energy situation becomes more and more critical, we are determined to enhance our efforts to create a clean energy society. In March 2013, work will be completed on our new General Technology Center. This will enable us to provide technical support for the creation of a new energy society, by combining energy sources such as LPG, solar cells and hydrogen to the best possible effect. As well as helping our customers to resolve issues, through services such as contracted experiments and technical support, we are also aiming to develop technologies that will cater to a wide range of needs throughout society, by developing products in partnership with our customers for example. Making the most of our new General Technology Center, we are determined to showcase Iwatani’s value as a technical special-ist and become an even more essential part of society. We hope that we can rely on your continued support and assistance in the future.

Iwatani’s LPG supply network

*As of April 1, 2012

Primary facilities (import/stockpiling bases): 4Secondary facilities (LPG terminals): 3Tertiary facilities (filling stations): 108Regional operating companies: 20

［Complete supply network］Iwatani is the only LPG supplier in Japan with a complete supply network running all the way from gas producing countries to the consumer. As the country’s leading supplier, we have our own means of transport (LPG gas tankers, etc.), import and stockpiling bases, a nationwide network of filling stations, a diverse supply system, and a national sales network consisting of approximately 1,400 companies. This enables us to supply LPG to 3.1 million households throughout Japan, from Hokkaido in the north to Okinawa in the south, as well as companies, schools and other public facilities. LPG is going to be a key part of our energy infrastructure for a brighter future. We consider it our responsibility and duty to keep on improving reliability in the future.

Responsibilities as Japan’s leading supplier

Our LPG tankers import gas from gas producing countries

［Core LPG centers］As our LPG centers are responsible for storing, filling and shipping LPG, they need to continue operating reliably even under the most difficult conditions, in order to maintain stable supplies in the event of an emergency. To improve the reliability of LPG supplies, we have selected and reinforced capabilities at 11 of our LPG centers (tertiary facilities) located in the outskirts of major cities around Japan. Reinforce-ments at these “core LPG centers” have included improving the earthquake resistant capabilities of LPG tanks and office buildings, installing autogas (automotive LPG) filling facilities, fitting LPG emergency generators, and upgrading filling stations to include automatic filling systems. We intend to select around ten centers and carry our similar reinforcements every year going forward.

Reinforcing our supply structure in case of an emergency

Ongoing improvements to our core LPG centers

The increasingly important role of LPG in the decentralization of energyAn increasingly important role for Iwatani too

■ Iwatani’s LPG supply networkpp y

LPG stockpiling bases Core LPG centers

LPG delivery vehiclesEmergency bulk supply facilities

supply network

cilities (import/stockpiling bases): 4ry facilities (LPG terminals): 3acilities (filling stations): 108l operating companies: 20 y facilitiesency bulk supplyEmergen Bulk storage tanks

LPG Core LPG centerstockpiling basess

Creating a decentralized energy society that is

Feature: Creating a perpetually sustainable clean energy society

2 Sustainability Report 2012

Providing reassurance and helping to enrich We are starting to see the decentralization of energy sources within Japanese society. The aim is to put an end our depen-dence on electricity and city gas, so as to create a society that is more resilient to disasters and other risks. As a result, LPG is attracting a lot of attention as a self-contained, environmentally friendly energy source. As a leading LPG supplier, we were one of the first companies to address this issue. We offer companies, households and other users diverse energy systems, revolving primarily around LPG. We also promote the use of LPG in conjunction with city gas and are continually working to reinforce our stable supply structure.

Creating a decentralized energy society with LPG

Iwatani’s Initiatives

LPG can be used anywhere, simply by installing a cylinder. It is essentially a “lifeline without the line”. To make the most of LPG’s outstanding abilities in an emergency however still requires human input. With additional assistance from Marui Gas distributors, our Marui Gas Emergency Taskforce consists of over 3,200 qualified engineers, who are there to provide mutual assistance in an emergency. Following the Great East Japan Earthquake, taskforce members headed straight out to the affected area to coordinate, inspect and restore LPG supplies. Based on strong bonds and sense of duty to protect people’s lifelines, this human network helps to provide added reassurance through LPG.

Protecting lifelines via a network based on strong bonds

［LPG emergency generators］As it is so disaster resilient, LPG can be used on a day-to-day basis alongside other power sources such as electricity and city gas, in case they are cut off in an emergency. We are always keen to stress the importance and effectiveness of LPG in an emergency here at Iwatani. That is why we continue to encourage schools, public facilities, companies, housing complexes and other establishments in city gas areas to install bulk storage tanks and emergency bulk supply facilities capable of storing and supplying large quantities of LPG. We have also teamed up with Denyo Co., Ltd. to develop LPG emergency generators. We have developed a system that is capable of supplying both LPG and electricity even if local power and gas supplies are cut off. The ability to secure power supplies in an emergency is something that hospitals, public facilities and companies alike have long been waiting for, to enable them to implement emergency measures or business continuity plans (BCP).

Using LPG gas alongside city gas

An LPG emergency generator

［Japan’s largest sales network］We have a complete LPG supply network. From the customer’s point of view, activities are carried out mainly through Marui-Kai, Japan’s largest LPG sales network consisting of approximately 1,400 Marui Gas distribu-tors nationwide. In order to improve contact with our customers, Marui-Kai member companies are always working to promote and provide information on new energy systems, focusing particularly on LPG. As well as dealing directly with our customers and carrying out community-oriented activities, this network enables all 1,400 companies around the country to work together under the Marui Gas brand. Key strengths such as these enable us to keep on accelerating the decentralization of energy here at Iwatani.

Improving contact with our customers

Marui Gas Emergency Taskforce nationwide drill

Improving the stability of LPG supplies and promoting LPG energy systems are crucial parts of the decentralization process. Our initiatives here at Iwatani are paving the way for a new energy future.

Gas stoves

Gas heat pump (GHP)air conditioning LPG emergency generators

Eco-Jozu high-efficiency gaswater heaters

Double-power (“W-power”)(solar power + ENE-FARM household fuel cells)

Cogeneration systems

resilient to disasters and risks and that minimizes environmental impact

Taking the time to communicate with our customers


people’s lives through Iwatani LPG


［Bulk supply systems］Bulk supply systems supply LPG via tanker trucks, which directly fill large-capacity bulk storage tanks installed on the user’s premises. Although systems are increasingly being used to efficiently supply housing complexes and other large-scale facilities with LPG, they are also starting to attract attention as gas supply bases of companies and local areas in the event of an emergency, based on a renewed appreciation of LPG’s self-contained, disaster resistant capabilities. We advise customers in urban areas to use bulk supply systems so that they can use LPG alongside their existing power source. We are also improving the earthquake resistant capabilities of our bulk storage tanks, to meet users’ needs in the event of a disaster, and offer emergency bulk supply facilities with integrated valves that can be connected directly to gas appliances.

With LPG being used for more and more different purposes these days, we are committed to maintaining stable supplies. We also engage in a wide range of activities here at Iwatani in an effort to increase usage of LPG, including developing and promoting new systems.

Helping to increase usage of LPGOutstanding capabilities, growing possibilities

A tanker truck and bulk storage tank

［Safety equipment/Tele-Safe Centers］We have established a multipurpose safety system to enable Iwatani customers to use LPG safely. The system consists of various pieces of safety equipment, including computerized meters, gas leak prevention systems, gas shut-off valves and gas leak detectors. Computerized meters in individual homes are also connected via the user’s landline to one of two Tele-Safe Centers (central monitoring centers), covering eastern and western Japan. These centers keep an eye on gas equipment 24 hours a day, 365 days a year, to make sure that it is functioning correctly and that there are no gas leaks.

Making every effort to ensure safety and provide reassurance［Household energy systems］

The era of home power generation

Solar power, generating power from sunlight during the dayHousehold fuel cell 「ENE-FARM」

［Cogeneration systems］LPG-powered cogeneration systems are essentially like miniature power stations. As well as generating power onsite, in office or factories for instance, they also reuse the resulting waste heat to provide air conditioning or hot water, with no waste whatsoever. The fact that there is no need to transmit electricity means that there is no loss, effectively saving even more energy. Systems provide a reliable, stable power source, to enable business continuity plans (BCP) to be implemented in the event of a power failure for instance or to avoid temporary loss of voltage due to a lightning strike. As a result, they are increasingly being installed in offices, factories, hospitals, schools and other such establishments.

Miniature LPG power stations

Cogeneration systems experience no transmission loss and are highly effective in the event of a power failure.

［GHP air conditioning］Gas heat pump (GHP) air conditioning systems can be used to provide gas-powered heating and cooling for buildings, factories and other establishments. They are exceptionally energy efficient and consume around one tenth as much power as electric heat pumps (EHP) or less, thereby helping to save power and reduce peak power consumption during the summer months when there is greater demand for air conditioning. Here at Iwatani, we offer energy saving GHP in conjunction with bulk supply systems, to prevent any interruption in the event of an emergency. The GHP air conditioning system installed at our Tokyo Head Office has already proved highly effective in terms of saving power.

Helping to save power and reduce peak power consumption

LPG-based systems save power while cooling or heating, and also reuse waste heat for heating to increase efficiency.

Enriching people’s lives even further through clean LPG

Microcomputer meterFuse cock

Gas-leak alarm

Dealer

24-hourcentralmonitoringcenter

Customer

residual gas infor

mation

Automated quotations

Planned delivery

Meter reading

and

Request fo

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Communication by phone

Emergent

mobilizati

onmobilization


Joining forces with our nationwide sales network, we are firmly focused on promoting new household energy sources here at Iwatani. Our Eco-Jozu gas-powered water heaters for instance increase thermal efficiency and reduce CO2 emissions. Our ENE-FARM household cogeneration systems meanwhile generate power via fuel cells, using hydrogen extracted from LPG, and reuse waste heat to provide hot water. We also offer double-power (“W-power”) solutions that add solar power into the mix, enabling users to save energy and reduce CO2 emissions considerably.


［Self-station α］Compared to other fuels, the emissions given off by LPG vehicles are exceptionally clean. As well as producing lower nitrogen oxides (NOx) emissions, LPG reduces CO2 emissions by approximately 12% compared to gasoline engines and 6% compared to diesel. LPG vehicles are being used for an increasingly wide range of purposes in Japan, including taxis, buses, delivery vehicles and mail trucks. If such vehicles are going to come into wider use however, the fuel supply infrastructure will need to be improved. The Iwatani “self-station α” is a simple LPG filling system that any company or organization running its own LPG vehicles can set up on its premises. Systems are already being used to supplement fuel supply infrastructure, alongside LPG gas stands.

Helping to develop infrastructure for LPG vehicles

Self-station α systems can be installed in small spaces.

［Disaster resilient energy systems］One of our main focuses here at Iwatani is on selling “disaster resilient energy systems” that maintain stable supplies of LPG. As well as providing energy on a day-to-day basis, these systems also feature large LPG tanks (bulk storage tanks) that enable users to secure the bare minimum energy for their everyday needs in the event of an earthquake or other such disaster, even if their city gas or electricity supplies are cut off for a certain period of time. Sales are already well underway, particularly in the Greater Tokyo area. In fact, design and construction companies such as STARTS Construction and Asset Management Co. Ltd. have already agreed to fit systems to their buildings. With more and more establishments working on new disaster prevention initiatives, Iwatani is ideally placed to meet their needs with LPG.

Disaster prevention support for apartment buildings

［Complete LNG supply structure］Thanks to its exceptionally low nitrogen oxide (NOx) and CO2 emissions, natural gas can be used as a clean alternative energy in place of oil. Although it is mainly used for purposes such as power generation and city gas, demand is on the increase in industrial sectors too. This is a growing trend at the moment, especially as users are reassessing their attitudes to energy. When natural gas is cooled to -163˚C and liquefied, for ease of storage and transport, the result in liquefied natural gas (LNG). Here at Iwatani, we are dedicated to securing supply sources for LNG, through partnerships or joint ventures with major power companies for instance. Making the most of low-temperature gas transport, storage and safety technologies developed via our industrial gas operations, we have also established a network capable of transporting, storing, supplying and securing LNG, which is a scarce resource in Japan, entirely within the Iwatani Group. We are increasingly handling larger volumes of LNG and supplying LNG to a wider area.

Maintaining stable supplies in response to growing demand

［Koga Energy / Tango-Gas］We established Koga Energy Co., Ltd. as a joint venture supplying natural gas in partnership with Kansai Electric Power Co., Inc. and Koga Kyodo Gas Co., Ltd. As well as supplying large-scale natural gas users in the local area, Koga Energy also serves as a wholesale supplier to Koga Kyodo Gas, which in turn supplies natural gas to approximately 3,000 households. This is the first time anywhere in Japan that everyday local energy supplies have been switched over to natural gas. Iwatani also has a stake in Tango-Gas Corporation, a city gas supplier that serves around 3,000 households in the city of Maizuru (Kyoto prefecture). This is our first full-scale venture into the city gas sector. As Tango-Gas was already converting heat to natural gas, we now supply the LNG required as the raw material in this process via the Iwatani Group.

Initiatives aimed at the next generation

Koga Energy storage tank

The first large-scale industrial LNG satellite supply venture in Japan

［Satellite supply services］Here at Iwatani, we are doing our bit to support growing demand for natural gas by providing “satellite supply” services. Essentially, this involves installing LNG intake, storage and vaporization facilities (“satellite” facilities) on the user’s premises and then supplying LNG in tanker trucks. This method of supplying LNG gives users access to natural gas even if there are no natural gas pipelines in their area. In providing satellite supply services for a great many users, we have established a wide-ranging supply network running from Tohoku in the north to Kyushu in the south. We are committed to meeting the needs of industry, as it continues to switch fuels to clean natural gas instead of oil.

Encouraging users to switch to natural gas

Satellite supply to LNG by lorry


As well as being used to generate power and as city gas, demand for natural gas has also been on the increase for industrial purposes in recent years. Here at Iwatani, we have an established network in place and the necessary technology to ensure stable supplies of liquefied natural gas (LNG).

Generating energy from energy

Getting natural gas to where it is needed

Children are endlessly curious and have the potential to change the future. That is why we provide opportunities for them to learn about subjects like clean energy and the environment here at Iwatani. We run Hydrogen Science Courses at elementary schools all over Japan in an effort to improve children’s understanding of hydrogen energy. We even give children the chance to ride in fuel cell vehicles themselves. Our annual All Japan Elementary School Essay Contest, based on the theme “making the earth a better place,” is supported by lots of schools and receives countless entries every year. We are determined to get children more involved in energy and the environment through activities such as these.

Thinking about the future of the environment and energy with children

［Hydrogen Station］A group of 13 hydrogen suppliers, including Iwatani, and auto manufacturers have started to work towards launching fuel cell vehicles (FCV) onto the domestic market and developing the necessary hydrogen supply infrastructure by the year 2015. As well as operating our three existing hydrogen stations, in Ariake, Kitakyushu and at Kansai International Airport, we are looking to develop our own Iwatani hydrogen stations in 20 locations around the country, focusing primarily on four major urban areas. As part of a new joint venture with Honda Motor Co., Ltd. and Honda R&D Co., Ltd., we have also installed a solar hydrogen station at Saitama Prefectural Office, for use in Japan’s first high-pressure electrolysis system. The system has started operating on a trial basis, as the first system of its kind in Japan to eliminate CO2 emissions at all stages, from manufacturing to supplying hydrogen.

Developing hydrogen supply infrastructure

■ The world’s first Hydrogen Town project

［Hydrogen applications］Pure hydrogen fuel cells generate electricity from hydrogen and represent one of the core technologies that will power the hydrogen energy society of the future. Here at Iwatani, we are continually developing applications using pure hydrogen fuel cells. Japan’s first fuel cell-powered vehicle is a prime example in which cells can be used for various purposes, with virtually no noise, vibration or CO2 emissions. Power-assisted hydrogen bicycles meanwhile have been introduced in Kitakyushu Hydrogen Town and are expected to become a key form of transport in the future. Other applica-tions make use of hydrogen gas. Hydro Cut is a newly developed mixed gas for welding and cutting. It offers improved performance and reduces CO2 emissions by 70% compared to conventional acetylene.

Products and technologies transformed by hydrogen

Hydrogen Science Course at an elementary school

Launched in January 2011, in the Yahatahigashi-ku of the city of Kitakushu, the Kitakyushu Hydrogen Town project is an experiment on a communitywide scale, aimed at providing homes and other facilities with hydrogen energy. This involves supplying hydrogen from locally installed pipelines to pure hydrogen fuel cells in order to generate power. Our role at Iwatani is to run trials on pure hydrogen fuel cells and test other associated technologies.

［Hydrogen Science Courses / All Japan Elementary School Essay Contest: Making the Earth a Better Place to Live］

and our everyday lives are supported by

Improving working environments andreducing CO2 emissions with Hydro Cutmixed gas for welding and cutting

The solar hydrogen station, developed as partof a Ministry of the Environment project

Fuel cell vehicles (FCV) Hydrogen Bicycle

Hydro Cut new mixed gas forwelding and cutting

Fuel Cell Power Source Vehicle


create a hydrogen energy society

［New General Technology Center］We have built a new research and development center in Amagasaki (Hyogo prefecture), tentatively named the new General Technology Center. We intend to start operations in March 2013. As well as taking over research and development activities currently carried out at our Shiga Technology Center (STC), the new center will broaden our capabilities in areas such as joint testing with customers, contracted experiments, technical support and consult-ing. We intend to use the center to provide services, making the most of our analytical and testing capabilities, and to promote our own energy concepts. These days, companies and industries have to join forces to develop truly innovative technologies. Our new General Technology Center will serve as a focal point for research and development of products and technologies that will help tackle a wide range of energy and environmental issues.

Iwatani’s new research and development center

New General Technology Center (tentative name) (artist’s impression of finished buildings)【General Technology Center】Address: 3-3-13 Tsugiya, Amagasaki, Hyogo prefectureSite area: 7,420m2Floor space: Approx. 12,000m2Buildings: Main building (consisting of a reception block, a large-scale experiment and a seven-floor research tower) and general admin building

*1. ISO 17025: Official certification awarded to businesses and organizations that have been screened by a third-party certifying body and deemed capable of accurately conducting experiments and analysis in accordance with official methods (JIS, etc.). We have obtained ISO 17025 certification in relation to techniques for the analysis of trace impurities in high-purity gases. Iwatani was the first organization in Japan to be granted ISO 17025 certification for gas analysis.

*2. Boil off gas (BOG): Gas that evaporates when low temperature liquefied gases such as liquid hydrogen are transported or stored, due to factors such as natural heat from outside sources


The new center will provide key environments to handle a wide range of gases, including experiment facilities, temperature- and humidity-controlled environments and clean rooms. This will facilitate joint research with our customers and serve as a focal point for providing new solutions.

□ Providing a multifunctional, multipurpose testing environment for 　 joint research and development with customers

The new center will include rooms for research presentations and demonstra-tions, to enable people to experience original technologies for themselves.

□ Improving demonstration capabilities for research results, new technologies, etc.

Credentials such as ISO 17025*1 (international standard for testing laboratories) and our environmental measurement certification business license will be transferred from our Shiga Technology Center. As well as gas and environmental toxin analysis, the new center will also offer JIS-compliant product safety analysis and food/hygiene analysis services and provide customers with problem solving and research support.

□ Installing the latest analysis equipment and offering outstanding　 analysis and testing capabilities

As well as providing support and training in advanced welding techniques, the new center will offer training in how to handle high pressure gases and consulting services covering areas such as treating exhaust gases and designing leak detection systems.

□ Offering customers training and consulting services

In addition to LPG-powered gas heat pumps (GHP) and emergency generators, the research building will also feature technologies such as solar panels, fuel cells powered by hydrogen recovered from boil off gas (BOG*2, from liquid hydrogen storage tanks) and emissions from experiments, green walls, and LED lighting. The center will act as a model of our new energy society, and enable us to promote our own energy concepts and offer solutions for eco-friendly buildings.

□ Promoting Iwatani’s energy concepts


As a result of supplying various gases and developing so many different products, we have established our own technologies, expertise and networks here at Iwatani. We use these resources to provide new solutions to energy and environmental issues. Our new research and development center is due to be completed in spring of 2013, putting in place a framework that will enable us to tackle a whole host of issues and make an even greater contribution.

many different products, we have established our own technologies, expertise and networks hereAs a result of supplying various gases and developing so mmany different products we have established our own technologies expertise and networks hereAs a result of supplying various gases and developing so m

Our wide-ranging initiatives continue to produce concrete results in response to energy and environmental issues

Our state-of-the-art plant, which takes into consideration thesurrounding landscape as well as reducing environmental impact

［Fuji-no-Yusui］Fuji-no-Yusui is natural spring water that is pumped up from deep wells more than 200 meters below ground at our state-of-the-art plant on the north side of Mount Fuji, at an altitude of roughly 950 meters. We take spring water from Mount Fuji and put it into fresh packs under carefully controlled hygienic conditions. We then deliver it to our customers, either in our unique disposable packs (“D-Pack”) or for use in new water coolers. Located within the natural beauty of Fuji Hakone Izu National Park, our Fuji-no-Yusui plant has been classed as “S,” the highest possible level under the Comprehensive Assessment System for Built Environmental Efficiency (CASBEE). As well as evaluating environmental awareness, based on measures such as saving energy and using low environmental impact materials and equipment, CASBEE comprehensively assesses the quality of buildings themselves, including comfort and consideration for the surrounding landscape. In June 2012, we set up a dedicated store in Kinuta, in the Setagaya-ku, Tokyo, called “Fuji-no-Yusui Setagaya Station.” The store is staffed by “Water Consultants” who have an in-depth knowledge of mineral water. As well as communicating with customers, they also provide lifestyle tips on using water coolers and other related information.

A plant at the highest level of environmental performance

［Halon recovery and filling facilities］The halon valves on fire extinguishers are required to undergo inspection 15 years after installation. As part of this process, halon gas has to be recovered and refilled. Our newly installed halon recovery and filling facilities, at our Iwatani Industrial Gases Corp.’s Himeji Plant, maintain an industry-leading recovery rate of 99.9% or higher. We essentially recover all halon gases so that nothing escapes into the air.

Maintaining an industry-leading recovery rate of 99.9% or higher

［Urban Greening System］

Saving power and energy through green walls and roofs

［Liquid helium business］We are working to increase supplies of helium, a scarce resource that is an essential part of the manufacturing process for items such as semiconductors and liquid crystal. As well as importing helium from existing supply sources in the United States, in 2010 we became the first Japanese company to secure the right to import helium directly, as part of a new helium development project in Qatar. As a result, we expect to import approximately eight million cubic meters of helium a year from the beginning of 2013 onwards. Having established the Osaka Helium Center, one of the largest such facilities in Japan, in 2010, we are now looking to expand operations into other countries such as China and Malaysia, as we continue to reinforce our supply structure.

Increasing supplies of helium

［Biomass PET］Developed by Iwatani, Biomass PET is a plastic made from plant-based materials, giving it the potential to reduce consumption of fossil fuels and cut CO2 emissions released during incineration. In partnership with companies in countries such as India and Thailand, we have put in place a complete framework for PET plastics here at Iwatani, from procuring raw materials to manufacturing PET and processing finished products. Biomass PET is likely to be used for a wide range of purposes in the future, including films, bottles and textiles.

Developing environmentally friendly plastics

Environmentally friendly plant-based plasticBiomass PET

Sugar cane, one of the raw materialsin Biomass PET

Facilities for distilling and refiningrecovered halon gas

Facilities for recovering halon gas fromand refilling existing cylinders

Helium is used for purposes such as MRI,semiconductors and fiber optics

Helium supply facilities atthe Osaka Helium Center

Fuji-no-Yusui Setagaya Station


More and more buildings are installing green walls and roofs, especially as saving power is such a high priority these days. This “greening” process helps lower ambient temperatures, due to the effects of transpiration in plants, and prevents temperatures inside the building from rising too high, thanks to plants’ outstanding insulating properties. This makes it possible to save energy and reduce CO2 emissions. Our greening system at Iwatani uses base materials fixed with peat moss, a soil conditioner also used in desert greening. This encourages plants to grow and makes for easy installation and maintenance. Our system is attracting a lot of attention at the moment, as an application of agricultural technologies. Green walls at our Tokyo Head Office


Social Performance Iwatani’s social contribution

Iwatani supports the objectives of the NHK Symphony Orchestra as they “Aim to enhance and develop the musical art of our country through symphonies, and accomplish the orchestra’s social and cultural missions”, and has cooperated in many aspects of their activities as a special supporting company nationwide.The core activity is the organization and sponsorship of the classic concert “NHK Symphony Orchestra “Summer” held in Osaka and Tokyo. This regular concert has been held25 times in Tokyo and 22 times in Osaka.

ALALA is an eco-friendly detergent completely made of natural materials. Part of its sales are used to contribute toward protection of the natural environment,an example being donations to The Associa-tion of National Trust in Japan for the Shiretoko 100 Square-Meter Forest Trust. Iwatani is committed to continuous,down-to-earth activities for protecting the local environment.

Activities of the Shiretoko 100m2 Forest Trust environmental group

“NHK Symphony Orchestra”:Iwatani supports their activities.

［In cooperation with NHK Symphony Orchestra activities］Iwatani is sponsoring the “Environmental Photo Contest”, held under the auspices of PRESIDENT Inc. Countless photos were submitted in 2012, based on Iwatani’s chosen theme “Faces in Hometown.” After careful consideration, the Iwatani Corporation Award went to “Tondo Mochi,” submitted by Kazuyuki Hiramoto from Hiroshima prefecture. The “Hometown” theme is the starting point for a process of rejuvena-tion that can enrich our minds. Our hometowns may be gradually changing as a result of environmen-tal　deterioration, but we hope that the warmth of the people communicated by “Hometown” will stimulate people’s awareness of the importance of environmental protection. The photo that received the“Iwatani Corporation

Award”in the Photo Contest 2012

［Sponsoring the “Environmental Photo Contest”］

Support of improvement and dissemination of welding technology in Asia. Welding is an essential technology for the manufacturing industry. Developing technological capabilities and improving welding skills are imperative for Asian nations, which are experiencing significant growth. These issues are also important for Japanese corporations intending to expand their business in these nations. Iwatani held the “Dalian City - Iwatani Japan-China Welding Technology Seminar and Contest” for 10 consecutive years since 1997, aiming to improve welding skills in Dalian. We have also held Iwatani Welding Seminars in Hanoi, Jakarta and other areas since 2007 to support improvements in welding techniques in Asia, as well as practical instruction at　customers’sites. We also support the procurement of welding machines and materials for Japanese companies moving to these areas, including India and Thailand. Our Welding Technology Center meanwhile hosts training and educational courses for sales staff from Shanghai Iwatani. Practical instruction for overseas customers

Iwatani provides “Iwatani Research Grants for International Students”. This is funded by the Iwatani Naoji Foundation, to support students studying natural sciences from East and Southeast Asian countries who are funding themselves whilst studying at graduate schools in Japan. The objective of this scheme is to provide individuals who are expected to maintain close relations with Japan, and who embody the fruitful outcomes of friendship and exchange, with opportu-nities and research support, thereby deepening interna-tional mutual cooperation and understanding and contributing to the improve-ment of peoples’ lives in both countries.

Biodiversity Initiatives

Support of improvement and dissemination of welding technology in Asia

Support for cultural activities

Scholarships for international students

Contribution to Local Communities

International Activities

Iwatani contributes to the security of local communities and environmental conservation, making optimal use of nationwide human and information networks, including our LPG dealers. Such cooperation helps to foster a rich culture.

Iwatani’s Activities Extend to Overseas Support Action. We focus our support on engineers and overseas students studying in　Japan, so that they can fuel development in their own countries.


Social Performance Iwatani’s social contribution / Iwatani and customers

●In August 2003, a defect was found in single-function microwaves manufactured between March 1997 and October 2000 which could cause smoke or, in the worst case, fire. On September 2, 2003, Iwatani posted an announcement in major newspapers nationwide as well as on its website, saying that it would inspect and repair the products, free of charge. It continues to offer free inspection and repair of therelevant products.

●It was found that our compact gas can with the product name of Mame Gasukko was a cylinder that should not be refilled. On November 6, 2007, Iwatani posted an announcement in major newspapers nationwide as well as on its website requesting cooperation with collection, stopping use of this cylinder. It has since made every effort to collect the cylinder. We also set up a new organization involving outside professionals to review our compliance with laws and safety, to prevent a recurrence of the incident.

Cases of consumer protection

The Iwatani Naoji Foundation provides grants for and promotes scientific and technical research through the Iwatani Naoji Memorial Awards, which are presented in recognition of outstanding achievements in research and development in the fields of energy and the environment, and through Iwatani Science and Technology Grants, which are awarded to researchers in the field of natural sciences at colleges and universities throughout Japan. Issues relating to resources, energy, and the environment, which have been adopted as themes for more than 30 years since the Foundation was established in 1973, have been growing in importance.

When it comes to its own products, Iwatani pays particularly careful attention to items used by custom-ers that may have associated risks. This can involve security-conscious design, product management, instruction manuals, and labeling that alerts customers to risks. If a defect is detected, we immediately take the appropriate actions. In addition, we assign customer relationship staff as a point of contact for general customers to handle claims and repairs, and we use any valuable feedback in new product development.

●Winners of the 3８th(FY2011) "Iwatani Naoji Memorial Prizes"

Head researcher Research / development themeOrganization

JFE Steel Corporation Hirobumi Nishimura, Managing Executive Director, Steel Business Division / Director, Steel Technology Division Development of a hydrocarbon gas-based iron ore sintering process

●Recipients of the 38th(FY2011) "Iwatani Science and Technology Grants"

Head researcher Research / development themeOrganization

College of Science and Technology, Nihon University

Tetsuo Umegaki, Assist. Prof.

Research into controlling nanostructure of functional hollow spheres and the effect on catalytic activity for oxidation reaction

(Excerpts from 20 recipients: in random order)

Iwatani Naoji Memorial Prizes / Iwatani Science and Technology Grants

Rigorous Consumer Protection

Support for Energy Technology

Relationship with Customers

Iwatani supports the research and development of science and technology with the themes of resource, energy and the environment through the Iwatani Naoji Foundation.

To earn the trust of its customers, Iwatani rigorously focuses on consumer protection in all activities, and listens carefully to what its customers say.

Graduate School of Engineering, Nagoya Institute of Technology

Ken-ichi Kakimoto, Prof. Research into high-temperature vibration power generation using lead-free piezoceramics

Interdisciplinary Faculty of Science and Engineering, Shimane University

Yasutomo Kajikawa, Prof. Development of infrared photovoltaic devices using new heterojunctions

Faculty of Engineering, Tohoku Gakuin University

Mie-Fang Chien, Fellow Development of a bioreactor for mercury removal and recovery from mercury contaminated water

Faculty of Engineering, Sojo University

Katsuki Kusakabe, Prof. Research on biodiesel oil synthesized from recycled waste oil for energy saving production.

Graduate School of Science, Tohoku University

Soji Shimizu, Lecturer

Molecular assemblies of fullerenes using non-planar phthalocyanines and their properties for organic thin-film solar cells


Environmental performance Iwatani’s commitment to the environment

Iwatani’s Environmental Management System (EMS) at our Head Offices in Tokyo and Osaka, the Shiga Technology Center, and other major 6 operational bases nationwide (which accounts for more than 70% of our employees), have obtained ISO14001 certification. Other branch offices and sales offices have also developed the management system under Head Office and major operational base guidance. The “Disaster & Environment Control Committee” discusses the implemen-tation of important items concerning environmental management.

“The Group’s ISO Promotion Staff Meeting”, with representatives from major subsidiaries and affiliates having acquired ISO certification,has been regularly held since FY 2001. Agreements overfuture directions, information exchange, and guidance, strengthen the environmental management system of the Iwatani Group. Ouroverseas companies are also working towards obtaining ISO certification.

Environmental management system The Group’s ISO Promotion Staff Meeting

Internal audit / Assessment by an external organization Environmental education

Thorough compliance by affiliated companies with environmental laws and regulations

Internal audits of EMS are carried out twice yearly for all units in the company. Any non-conformities found are dealt with immediately. In FY 2011, they were carried out in September and February, and no major non-conformities were found. In November 2011, a re-certification audit of ISO14001 was carried out by the High Pressure Gas Safety Institute of Japan, and we were assessed as effectively running the EMS.

ISO assessment in 2011

Iwatani provides the following education to enhance employees’ awareness of the environment.

Environmental education using the internal LAN

Aiming to raise levels of compliance with environmental legislation, we conduct onsite surveys at affiliated companies to identify areas in need of improvement. We then examine the environmental impact at each company and determine our priorities accordingly. We conducted surveys and provided direction for improvements at three premises in fiscal 2011.

Environmental Management SystemIwatani is engaged in environmental activities throughout companies in the group. To further improve results, we are reinforcing the organization and systems in an effort to enhance employees’ awareness. As a result we were able to achieve steady results in FY 2011.

Risk Management Committee

Disaster & EnvironmentControl Committee Internal environment auditors

Environment management (General ManagerInternal environment auditors

safety and environment Dept manager)

EMS office (Safety and EnvironmentDepartment, Global Environment)

Tokyo Headquarter(16 units)

Osaka Headquarter(15 units)

Block Branch Offices(6 units)

●EMS operation organization

Time ContentEducation Courses Time Content

Introductory training RecruittrainingGeneral environmental issues, summary of EMS, advantages of environmental activities

Overseas companies that acquired ISO certification ISO14001…12 companies／ISO9001…18 companies

●The Group's ISO Promotion Staff MeetingRange covered by ISO14001 certification

President

ShigaTechnical Center

Chairman（Manager of the Safety & Environment Department）

Branch offices、 Sales Offices Branch offices、 Sales Offices Branch offices、 Sales Offices

Secretaria（t Safety and EnvironmentDepartment, Global Environment）

ISO14001 Sub-committee 22 companies ISO9001 Sub-committee 17 companies

Education by rank ManagementtrainingRequirements of the laws and regulations relating to environmental protection and their relations with businesses

Group training At beginning of fiscal year

Environmental goals, procedures of environmental activities, compliance procedures

Follow-up As required Information supplement via internal LAN, awareness confirmation tests


Eco Office

53,496

48,146

45,471

42,796

45,471

43,86742,797

43,425 43,424 43,424 43,657

43,657

43,657

2,9122,965

2,933

2,841

2,8102,779

2,9963,088

2,857 2,8652,811 2,811 設定なし

53,496

47,17445,421

47,495

52,304

45,00143,863

42,802 42,948

39,235

42,809

46,069

43,335

3,088

2,896

2,973

2,848

3,005

2,762

2,864

2,992

2,8552,811

2,605

2,776

The status of the“ Eco Office Activities” that we have been conducting since 1999 is shown in the graphs below.

Item FY 2011 targetNo.

1

Overview of results Achievement

△

○

3 △

4 ×

5 ○

6 ○

7 ○

Expansion of use of eco-friendly products

Promotion of environmental activities

Reduction in environmental burdens bybusiness vehicles (Iwatani company-wide)

Reduction in environmental burdens by delivery trucks, etc. (affiliated companies)

horough compliance with environmental laws and regulations in constructing factories and facilities

Reduction in greenhouse gas emissions by the Iwatani Group (Improvement in energy efficiency at air separation factories)

Reduction in environmental burdens through rationalized distribution according to the regulations for specified consigners of the amended Act Concerning the Rational Use of Energy

Reduction in company-wide energy environmental burdens according to the regulations of individual businesses (companies) of the amended Act Concerning the Rational Use of Energy

Reduction in burnable garbage

Target: 120 pointsResult: 104 points

Target: 6,500 pointsResult: 6,747 points

9 ○

Target: Proportion of LPG vehicles: 50.0%Result: Proportion of LPG vehicles: 46.0%

Target: Introduction of 100 LPG vehiclesResult: Introduction of 26 LPG vehicles

Target: Thorough compliance with environmental laws and regulationsResult: No case of non-conformity to related laws and regulations

Target: 3% improvement in energy efficiency at AS factoriesResult: 13.6% improvement in energy efficiency at AS factories(from energy use per shipment in FY 2008)

8 ○

Improvement in transportation efficiencyTarget: 3% improvement in efficiencyResult: 9.2% improvement in efficiency(Compared with energy usage per sales in FY’08

Target: 100% sampling of company-wide target energy usage dataResult: 100% sampling of company-wide target energy usage data

The target was not reached.

Target points were achieved through activities such as ongoing Hydrogen Science Courses (since FY2010) and sponsorship of events.



Complete compliance with environment related laws and regulations such as the Waste Management and Public Cleansing Act and the Construction Waste Recycling Act was achieved.

The target was achieved comfortably.

Results significantly exceeding the target were achieved by improving distributionefficiency, aiming at a companywide reduction in the environmental burden.

Survey of energy usage was conducted at all offices (headquarters, branches,district offices, and sales offices).

The target was achieved.

●Amount of burnable garbage ●Electric power consumption

2500

（Unit：MkWh）

ActualTarget

’99 ’00 ’01 ’02 ’03 ’04 ’05 ’06 ’07 ’0839000

42000

46000

50000

54000

（Unit：kg）

ActualTarget

’09 ’10 ’11 ’99 ’00 ’01 ’02 ’03 ’04 ’05 ’06 ’07 ’08 ’09 ’10 ’11

2600

2700

2800

2900

3100

3000

Achievement ratios: ○…Achieved, Δ…Over 50% achievement, ×…Under 50% achievement

●Results of environmental activities in FY 2011

Target: 43,657kg（ ▲1% from FY 2008 level）Result:43,335kg（ 1.7% FY 2008 level)

2

2,556

As part of our EMS at Iwatani, we set ourselves environmental targets each year and are constantly working towards medium-term environmental objectives on a three-year basis. The table below shows our achievements in fiscal 2011.

Results of environmental activities in FY 2011

FY 2011 Summary of Environmental PerformanceIwatani strives to check and improve environmental performance in order to reduce the burden of our business activities on the environment.



Iwatani Corporation (non-consolidated)Iwatani Corporation Range: All domestic business operations of Iwatani Corporation (74 locations)Period: April 2011 to March 2012 Note: The range of summation is indicated by ☆. ☆: Business operations with ISO14001 certification

Iwatani group (consolidated)Iwatani group: In addition to the above business operations in Japan, 80domestic consolidated companies and two large energy consuming affiliated companies are included in the calculations. Period of calculation: FY 2011 (fiscal year of all companies)*1

Note 1: In addition, there are also emissions of PRTR substances, the study of which is now underway. Study results will be available on this homepage when compiled.Note 2: The ratio of the measured values relative to the total value disclosed is shown in ( ), in the case of the estimated values.*1: The figures for the Iwatani group (consolidated) up to FY2006 are results in which the results of Iwatani Corporation (individual) are not included. See our website for the Material Balance results in past years: http://www.iwatani.co.jp/jpn/csr/csr04.html*2: Energy-derived CO2 means the amount of consumed electricity, fuel, and others, converted to CO2 amounts generated in their production or consumption. The volume was calculated based on (draft) Guidelines for Calculating Greenhouse Gas Emissions published by the Ministry of the Environment.*3: Recycled paper volumes include paper resources for non-business use such as newspapers, magazines, and wrapping paper.

Paper53t

Water34m3（74％）（unit:1,000）

Automobile fuelsGasoline･･･････Light oil･･･････････LP gas････

FuelsLP gas･･･････City gas･････Kerosene･････････････････Heat supply･･･････････

Energy-derived CO22,888t※2

Industrial waste148t

Burnable garbage43t ☆

Recycle（paper）

76t※3

Electricity3,935kWh（unit :1,000）

Paper217t（95％）

Water1,043m3（97％）（unit:1,000）

Automobile fuelsGasoline････････････Light oil････････････LP gas････････

4,480kℓ3,819kℓ

2,738kℓ（99％）

FuelsLP gas･･･City gas････Kerosene････････････････Fuel oil A････････････････Heat supply･･･････････

1,336m3（99.5％）（unit :1,000）9,802m3（unit :1,000）

474kℓ928kℓ

97,764GJ

Electricity272,246kWh（99.8％）（unit :1,000）

Energy-derived CO2165,208t※2

Burnable garbage3,301t※3

ecycle（paper）225t※3

(consolidated)

（non-consolidated）343kℓ0ℓ

172kℓ（79％）

Iwatani’s Material BalanceThe“ Material Balance” indicates the overall picture of the impact of Iwatani on the environment. We also started researching the burden on the environment of the whole Iwatani Group since FY 2003, and have disclosed the results since then. We will strive to improve environmental efficiency in our business activities by reducing resources and energy input as well as the amount of waste and energy-derived CO2 emissions.

42m3（unit :1,000）23m3（unit :1,000）

5kℓ2,442GJ


●Green supply chain ●Separate gas plants of the Iwatani Group

LogisticsThe transportation sector accounts for over 20% of total CO2 emissions in Japan, making it essential to reduce their emissions. Iwatani also strives to reduce environmental burdens from logistics on a group-wide basis.

Iwatani, designated to the specified consigner according to the Act concerning the Rational Use of Energy in FY2006*, has strived to improve the efficiency in freight transportationconsigned to cargo carriers, both inside and outside the group, by merging/abolishing existing logistics centers, using transportation means generating reduced environmental burdens and eco-driving.

* Act concerning the Rational Use of Energy: A law that specifies the rational use of energy.

Target reduction setting for CO2 emitted in the context of logistics

EU directives regulating chemical substances, such as RoHS, ELV and REACH, are applied to all products sold in Europe, including those exported from Japan. Therefore, manufacturers doing business in the European market must examine the records of components and raw materials used, and stringently control purchased materials so that finished products do not include any chemical substances restricted by regulations. (Green procure-ment) Iwatani also examines substances with a potential environ-mental burden in the goods supplied to us so that we can meet the requirements demanded by our customers, such as the Sony Green Partner Standards. At the same time, we carry out green procure-ment from suppliers, and provide our customers with quality assurance and certificates for the non-use of environmentally harmful substances, thus contributing to a greener supply chain.

Iwatani is a gas manufacturer as well as a trading company, and pays utmost attention to the quality of gases we ship as our own products In order to assure the purity of gases required by our customers, the Product Department and Safety & Environment Department collaborate to establish a quality assurance system. In implementing the system, with industrial gases for example, the Technology Development Department [Shiga Technology Center] supports the operation through analytical work (analysis of various gases, instructions for gas analysis, and the selection of analysis equipment).The air separate gas manufacturers in the Iwatani Group have acquired ISO9001, the international standard for quality management, and have established a high level quality control system, thereby preventing the infiltration of environmen-tally harmful substances.

Green procurement Quality assurance

Supply Chain Management SystemCooperation with customers and suppliers is also important for environment-conscious business activities. Iwatani is striving in the area of supply chain management such as green procurement and quality assurance.

Indicating required items(Green procurement)

Sell environmentally friendly products

Certificates for non-use of environmentally harmful substances

Deliver compliant productCommunication of requirements

Deliver compliant productExamine / Instruct

Suppliers

Customers

Consumers

ISO9001 ISO14001Plan

Iwatani Industrial Gases Corp. Kofu Plan

Air Chemicals Corp. Kitsuregawa Plan

Sanyo Air Chemicals Corp. Ohtake Plant

Hokuriku Air Chemicals Corp. Tsuruga Branch

○

○

○

○

○

○

─

─



Environmental AccountingIn order to reflect costs for environmental measures and their effects on the environmental management system of the company, as well as widely disclosing relevant information, we are compiling“ Environmental Accounting” that can quantita-tively assess efforts by the company towards environmental conservation.

Environmental Accounting for FY2011

(Period: April 1, 2011 to March 31, 2012　 [Units‘: 000 yen])（＊）Donation to the Association of National Trusts in Japan, etc.

Summary of major Category actions and resultsCategory Investments Costs

Septic tank maintenance costs etc.

Introduction of low-emission vehicles

Costs of recycling and disposal of waste

Commission based on the Containers and Packaging Recycling Law

Commission based on the Home Appliance Recycling Law

Supply chain management costs

Costs for developing and operating the EMS

Environmental information disclosure / Environmental advertisement

Environmental burden measurement

Costs for environmental education

Environmental maintenance around business sites

Research and development of products concerning environmental conservation, etc.

Donation to groups conducting environmental conservation activities (＊)

Costs for environmental restoration work etc.

0

0

54

23,352

2,801

1,455

2,719

8,000

56,638

2,645

2,308

2,818

2,170

552,114

300

0

657,374

Business area costs

　　①Pollution prevention costs

　　②Global warming prevention costs

　　③Resource circulation costs

Upstream / Downstream costs

Administration costs

Research and development costs

Social activity costs

Environmental remediation costs

Total

As our attempt to ensure employees thoroughly understand and comply with the laws and regulations relating to environmental protection seemed to work well, no incompliance was found in FY2011.

Compliance in FY2011

Compliance with Laws & Regulations and Negative InformationIwatani strives to comply with environmental laws and regulations as well as the requirements of others concerned. Should any problems be identified, we will promptly disclose the relevant information.

Examples applicable ComplianceStatus

High Pressure Gas Safety Law

Poisonous and Deleterious Substances Control Law

Labor Safety and Sanitation Law

Waste Disposal and Public Cleansing Law

Act Concerning the Rational Use of Energy

Containers and Packaging Recycling Law

Food Recycling Act

Air Pollution Control Law

Soil Contamination Countermeasures Law

LP gas sales

Ammonia sales

Ethylene oxide sales

Disposal of business waste

Consignment of freight traffic

Cassette-Feu sales

Disposal of food waste

Use of boilers

Investigation of soil contamination

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

Yes

●List of environment related laws and regulations

Major laws and regulationsconcerning our business


Iwatani supports the business of obtaining ISO certification for quality and/or environmental management, fully utilizing the know-how obtained in the experiences of obtaining ISO9000 and ISO14001, for our company and companies in the Iwatani Group.We have a good reputation for constructing compact systems appropriate for company size and line of business, as well as sophisticated follow-ups. Please contact us if you are studying how to obtain ISO certification for purposes such as green procure-ment

Obtaining ISO certification

In “The15th Environmental Management Survey of Companies” (Nihon Keizai Shimbun Inc.), we were ranked 7th in the trading company sector. In order to improve our position, we will focus our activities on those which contribute to the environment.

Assessment of FY2011activities

To raise awareness of Iwatani’s environmental initiatives, we distributed the “Sustainability Report2011” and included environment-related information on our web site in FY2011. The Safety & Environment Department (Global Environment) has responded to the questions and opinions put to the public informa-tion office and other enquiries.As a result, there were no complaints regarding Iwatani’s environmental activities in FY2011.

Environmental communication

Item Environmental target (Medium-term target from 2009 to 2011)No.

1

FY 2011 target

Expansion of use of eco-friendly products 360 points (3-year cumulative total) 120 points

2 Promotion of environmental activities 18,000 points (3-year cumulative total) 6,000 points

3 Reduction in environmental burdens by business vehicles (Iwatani companywide) LPG vehicles: 75 (3-year cumulative total) LPG vehicles: 25

4 Reduction in environmental burdens by delivery trucks, etc. (affiliated companies) LPG vehicles:170 (3-year cumulative total) LPG vehicles: 50

5 Thorough compliance with environmental laws and regulations in constructing factories and facilities

Thorough compliance with relevant laws and regulations

Thorough compliance with relevant laws and regulations

6

Reduction in environmental burdens through rational distribution based on specifiedconsigners regulations pertinent to the amended Act Concerning the Rational Use of Energy

Improvements in energy efficiency: 6%(of the energy consumption per net sales in FY2008)

Improvements in energy efficiency: 4% (of the energy consumption per net sales in FY2008)

7

Reduction of company-wide energy and environmental burdens based on regulation in units of business operators (enterprises) pertinent to the amended Act Concerning the Rational Use of Energy

Reduction of company-wide energy and environmental burdens based on regulation in units of business operators (enterprises) pertinent to the amended Act Concerning the Rational Use of Energy

100% extraction of data on company-wide energy consumption

8 Reduction in burnable garbage ①1% reduction (from FY2011 level)②100% separation

①1% reduction (from FY 2011 level)②100% separation

Business partners17％

Seminars, etc.58％

In-house use17％

PR, IR8％

Number of issues: 5,000 copies

●Sustainability Report distribution and use in FY2011.

FY2012 Environmental Objectives and Targets

FY2012 Environmental Objectives and TargetsThe“ Environmental Objectives” we set out to achieve over the 3-year period up to FY2014, and our FY2012 “ Environmental Targets”, are described in the table below. The targets were set, taking into consideration the reductions of environmental burdens at Iwatani offices and logistics operations, the beneficial environmental activities and compliance with laws and regulations, and the environmental burdens at group companies.


Corporate Data

Main activities.

●First to start sales of LP gas for domestic use in Japan, under the brand name“ Marui Propane”

●Announced the corporate slogan“ Our aim is to making the Earth a good place to live” in commemoration of the Company’s 40th anniversary.

●Established the Iwatani Naoji Foundation Started providing awards and grants for science and technology research and 　development,including environmental conservation, and established a scholarship system for international students

●Started first liquefied hydrogen production for commercial use in Japan.

●Sakai LPG terminal was completed and started operation.

●Opened the first automobile LPG filling station on an expressway in Japan in the Tomei Ashigara service area.

●Kashima L．P．G． Joint Stockpiling Terminal was completed and started operation.

●Held the 1st Environment Committee

●Established the“ Iwatani Group Environment Charter”●Exhibited at“ Eco Japan ’97”, jointly held with the 3rd Session of the Conference of the Parties to the United Nations 　Framework Convention on Climate Change (COP3) in Kyoto.●Joined the Green Purchasing Network

●Tokyo Head Office and the Metropolitan Block Branch received“ Recycle Promotion Commendation; Recycling Council Chairman’s Award”●Started publishing the Environmental Report

●Osaka Head Office and the Kinki Block Branch received“ Osaka Environmental Prize・Special Commendation Award”●The 4th Environmental Management Survey by Nihon Keizai Shimbun Inc. Obtained“ A“ rank in all items in the trading company sector (non-manufacturing sector)

●The 5th Environmental Management Survey by Nihon Keizai Shimbun Inc. Ranked No.1 in the trading company sector　 (non-manufacturing sector) and No. 4 out of all companies

1953

1970

1973

1978

1980

1991

1994

1996

1997

1998

1999

2000

2001

2002

2006

Oct.

Oct.

Jun.Dec.

Dec.

●Started“ Fuel Cell and Hydrogen Car Caravan Touring across Japan”2007 Sep.

Apr.Dec.

Mar.Apr.MayAug.Nov.Dec.

Dec.

Apr.Jun.Dec.

●The 6th Environmental Management Survey by Nihon Keizai Shimbun Inc. Ranked No.2 in the trading company sector　 (non-manufacturing sector) and No.5 out of all companies

●Started operation of the“ Hydro Edge” liquefied hydrogen manufacturing plant.●Won the“ Konstantin Tsiolkovski Award” at the 16th International Hydrogen Energy Conference.●Held the 1st Iwatani Hydrogen Energy Forum.

●Iwatani won the Fuji Sankei Business Eye Award in the 18th Global Environment Award sponsored by the Fuji Sankei group.●Chiba Liquid Hydrogen Plant started operation.●Kitakyushu Hydrogen Station was completed and started operation.

●Launched the premiere issue of“ PASSPORT”, the environmental information bulletin (in-house bulletin)●Established“ Iwatani’s Environmental Policies”●Held first environmental seminar as part of personnel training course●Started the operation of the environmental management system●Sakai LPG terminal received“ Tree Planting Award of the Osaka Chamber of Commerce and Industry”●Acquired ISO14001 certification

2009 Feb.Jul.Sep.

2011 Jan.MayJul.Sep.

●Launched Kitakyushu Hydrogen Town Project.●Greening on the wall of Tokyo Head Office building.●As part of electricity saving measures, part of our air conditioning systems in the Tokyo Head Office building switched to GHP and commenced operation.●Established Yamaguchi Liquid Hydrogen Corporation

●Held“ A World Where All Enjoy True Comfort - National Elementary School Students Writing Contest 2010.”●Held environmental lessons at 91 elementary schools across Japan.

2010 Jun.Sep.

Company NameIncorporatedEstablishedPresidentPaid-in CapitalNet Sales

Number of Employees Number of Business OperationsNumber of ShareholdersFiscal Year Ended

Iwatani CorporationFebruary 2, 1945May 5, 1930Masao Nomura20,096 million (as of July 31, 2011) ¥486.306 billionConsolidated: ¥661.185 billion (year ending March 2012)1,427 (as of April 1, 2012)81 [75 in Japan, 6 overseas] (as of July 31, 2011)24,049 (as of March 31, 2012)March 31

Safety and Environment Department - Global EnvironmentTEL：03-5405-7027　FAX：03-5405-7028

Information service (concerning environmental measures) on the Internet at:http://www.iwatani.co.jp/jpn/csr/csr01.html

We aim to produce even better reports reflecting readers’ opinions. If you have any opinions or questions about the “Sustainability Report 2012”, please contact us.

Information on Iwatani’s environmental initiatives can be found on our web site as well as in this report. The site has information updates subsequent to the publication of this report, as well as a PDF version of this report.

Environmental Chronology

10環境社会報告書H01 H04 A-1 · Environmental Chronology ... As our energy situation becomes...

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